Kristin Dziczek. Director, Labor & Industry Group and Program for Automotive Labor and Education. Center for Automotive Research

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2 Kristin Dziczek Director, Labor & Industry Group and Program for Automotive Labor and Education Center for Automotive Research

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4 Thank You! Reception Sponsor: Technology Demonstrations: Display Vehicles:

5 Join us for the DRIVING CHANGE: Greening the Automotive Workforce Conversation on #DrivingChange

6 Driving Change: Project Goals Chronicle the automotive industry & workforce transformations Identify the impact of the transformation on the supply chain workforce Examine alternative career pathways for displaced workers Identify the skills gap & training needed for dislocated workers to transition to new occupations

7 Driving Change: Conference Topics A Vision of the Future of Automotive Work in the United States Plenary Session: Grand Hall Suite 1 & 2

8 Driving Change: Conference Topics Technology Drives Change Powertrain & Fuels Materials & Forming Electronics, Software & Controls Automotive Technology: Greener Products, Changing Skills Grand Hall Suite 1 & 2

9 Driving Change: Conference Topics What are the Workforce Implications: What will happen to employment levels? What skills are needed for new and incumbent workers? Automotive Manufacturing & Technology Jobs Grand Hall Suite 1 & 2 What alternative career pathways exist for displaced workers? Retooling the Labor Force: Connecting Today s Workers with Tomorrow s Occupations Room 203

10 Driving Change: Conference Topics What are the Workforce Implications: How are the workforce needs of new, green, and start-up companies different from more traditional employers? The Next Employers Grand Hall Suite 1 & 2

11 Back From the Crash Sales UP! Production UP! Employment UP! Profitability Positive cash flow for Det3 for first time in 5 years Productivity All auto manufacturers meet or exceed benchmark Quality No longer a differentiator New technologies Being developed & built in US Market Improving, and domestic-built share increasing Labor costs No longer a differentiator

12 Posted: Jan. 10, 2011 Bill Ford: 'It feels so good' to be adding jobs BY BRENT SNAVELY FREE PRESS BUSINESS WRITER Help wanted! Dec 01, 2010 Jobs at last! GM, Chrysler hang out hiring shingle Ford Plans to Hire More Than 7,000 Workers By NICK BUNKLEY Published: January 10, 2011 Ford joins General Motors, Chrysler in hiring more workers Published: Thursday, December 09, 2010, 6:46 PM Updated: Thursday, December 09, 2010, 6:46 PM Bright Automotive hiring 200 engineering and business development jobs in Southeast Michigan Saginaw-based Nexteer Automotive hiring up to 100 workers Posted: at 9:44 PM January 9, 2011 Finally: Help wanted in Michigan as firms hiring again By KATHERINE YUNG Free Press Business Writer Chrysler plans to hire 60 salaried employees at its transmission complex in Kokomo THE ASSOCIATED PRESS First Posted: April 21, :36 pm

13 State Level Motor Vehicle & Parts Manufacturing Employment * Michigan Indiana Ohio U.S. 400, , , , , , ,000 50, ,130,900 1,200,000 49% change 1,000, , , , , ,400 60% change 600,000 51% change 127, ,000 44% change * *2011 through March Source: BLS, U.S. DOL, April , ,000 58,200 0 U.S.

14 Reasons to Believe in a Rebound No comprehensive public transportation system Vehicle miles travelled increasing over the long term Over 2 vehicles per household, and holding Household formation increasing Vehicle stock decreased sharply and must be replenished Weak dollar

15 CAR Long-Term US Light Vehicle Sales Forecast M + 17 M M M M U.S. Sales (Millions) Source: Center for Automotive Research

16 Employment Forecast of Major Automakers* Total Employment 300, , , , , , , ,822 U.S. 150, , , ,866 Tri-State MI 100, ,851 OH IN 50,000 37,692 41,269 41,704 16,422 20,092 18,252 *Chrysler, Ford, General Motors, Honda, and Toyota Source: CAR research based on proprietary fata

17 Practical Responses Access to capital critical to sector stability Green products and processes demand training from design center to the shop floor Managers must understand worker training benefits associated with technology investments Identifying and quantifying green jobs and training opportunities difficult due to definition & coding issues Many displaced auto workers have limited education, which will make training for & transitioning to new occupations challenging

18 Plenary Session

19 Dr. James Jacobs President Macomb Community College Member Auto Communities Network Steering Committee

20 Jane Oates Assistant Secretary U.S. Department of Labor, Employment & Training Administration

21 Thomas Shoupe President Honda Manufacturing of Alabama

22 Nancy Gioia Director, Global Electrification Ford Motor Company

23 David Foster Executive Director BlueGreen Alliance

24 Panel Dr. James Jacobs, President, Macomb Community College and Member, Auto Communities Network Steering Committee Moderator Thomas Shoupe, President, Honda Manufacturing of Alabama Nancy Gioia, Director, Global Electrification, Ford Motor Company David Foster, Executive Director, BlueGreen Alliance